Abstract: Electronic Banking has brought dramatic variations and new dimensions which have modernized the behaviors
in which banks are functioning. Indeed, these dimensions also bring an influence on the performance of banking sector. In
this study, we have developed an integrated model to analyze the impact of E-banking on the performance especially in
terms of profit margin of those banks who have adopted it recently in Pakistan for the period of less than 5 years while
incorporating the effect of all factors which are pivotal to embrace the electronic banking. The four commercial banks of
Pakistan are considered for analysis. By applying the OLS (Ordinary Least Square) method on the concerned sample, the
results show that adoption of electronic banking facilitations have substantial influence on performance in terms of margin of
the banks who have adopted it recently. The study suggests that it will bring a competitive edge for these banks not only in
Pakistan but also at international level in this era of economic loss.
Keywords- Electronic banking, Pakistan, Competitive edge, Recent adopters